The poorest countries face high risk of war because they often spend most of their income on food.
The war in Ukraine not only created a humanitarian crisis on a global scale, but also hit the world economy. This is stated in a new study published on Monday, April 11, on the website of the World Trade Organization (WTO).
According to this study, this year’s crisis should reduce global GDP growth to 3.1% instead of the expected 3.7%.
The war will hit world trade more – if by the end of last year the WTO expected its growth in 2022 at the level of 4.7%, now the forecast has been changed to 2.4-3%.
“Much of the suffering and destruction is experienced by the people of Ukraine, but the costs associated with the reduction in trade and production are likely to be felt by people around the world due to rising food and energy prices and declining availability. of goods exported by Russia and Ukraine, “-noted in the study.
“The poorest countries face high risk of war because they tend to spend more of their income on food compared to richer countries, and the Central Committee, in turn,” could affect political stability. “
The WTO states that although Russia and Ukraine’s shares in total world production and trade are relatively small, both countries are important suppliers of basic commodities, including food and energy. In 2019, the two countries will harvest approximately 25% of the world’s wheat, 15% of barley and 45% of sunflower, according to the WTO.
It was previously reported that in 2022 Ukraine’s GDP will decline by 45.1% due to the war Russia unleashed against it.
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Source: korrespondent
